When you think long-term, the edge is really investing because others can't know.

Part I, Raising Funds, Hedgies, p. 27.

When someone pukes up a stock, it's not hard to miss. Mispriced securities all over the table. And we are there with a barf bag, collecting all we can.

Part I, Raising Funds, Making Your Month, p. 33.

High elasticity means that unit output goes up more than prices went down, so you get a growth business.

Part II, Revolution, Meeting Mr. Zed, p. 42.

But someone knew and made a killing. It was investing when you know something no one else knows.

Part II, Revolution, Object Lesson, p. 63.

Cheap power helped create a new market that didn't exist previously.

Part II, Revolution, Pressure Drop, p. 66.

A product lowers the cost of doing something and eventually, customers will figure this out and buy the stuff in big volume, but they're not going to buy yet. You've got to have real conviction to step up and own this kind of company-you're staring over the edge of the waterfall, not sure when the growth is going to start.

Part III, Searching For Scale, Four-Door Office, p. 105.

Think about it- the King James Bible took religion out of the hands of the high priests and put it in to the hands of the people. An entire generation became literate just to be able to read the King James version of the Bible.

Our portfolio was more of a Roach Motel-stocks came in and never left. This was exciting.

Part IV, Intellectual Property, It Works Again!, p. 142.

But I was confused. Here we were scrambling around looking under rocks for great long-term investments, and every other hedge fund, or so it seemed, was doing some funny hedge of cheap yen money and T-bills. That's investing?

Part IV, Intellectual Property, The Yen-Scary Trade, p. 165.

"I've been doing this for years. Never invest in a company with the target price for the stock in the name of the company."

I think what I learned is that wealth comes not just from taking risk but from constantly taking risks.

Part VII, The Margin Surplus, What Is Wealth?, p. 233.

Give me a big enough sandbox to play in, and I'll find the part of it not being used as kitty litter.

Part VII, The Margin Surplus, Industrial Economists, p. 237.

By the way, I love paradoxes.They usually mean someone doesn't understand what's really going on and you can invest in things other people "can't know." I start salivating when I hear that word paradox.